Fortescue Metals was the day's big loser,
plummeting $1.28 to $3.77. Its shares have been suspended until
Wednesday following a report that Fortescue's Chinese financier was
concerned the venture did not have enough ore to support a planned
$1.85 billion iron ore mine. Reaction to the news wiped close to
$300 million off Fortescue's market value.

The big banks were all down, but ANZ dipped
only 2 ¢ to $20.86, buffering its losses by announcing it
would expand in Vietnam.

Also dragging down the market were telecommunications stocks,
with Telstra going ex dividend and losing 5 per
cent of its value, down 28 ¢ to $5.12.

Singapore Telecommunications, parent of Optus,
was the top-traded stock by volume with 88.5 million shares
changing hands, followed by Telstra at 81.4 million.

Bill Express, which runs ticketing terminals in
newsagents for public transport users, rose 2 per cent to 24.5
¢ after announcing it would join with a subsidiary of
smartcard manufacturer ERG, which rose 1 ¢ to 32 ¢.

On the currency market, the dollar hit a six-week low yesterday
as it continued the sharp descent set off on Tuesday night by the
US Federal Reserve pointing to rising US inflation. That compounded
expectations that the pace of monetary tightening was about to
accelerate.

The prospect of higher interest rates strengthened the US
dollar, which in turn depressed commodity prices across the board
and took the Aussie with them.